With 2m instead properly you won’t have to work another day in your life, with 1m you won’t either but you might not be able to live in the buffet cities.
Give me 1m and I’m retiring tomorrow.
How old are you and where do you live that you think thats enough to retire comfortably?
We were talking about winning the lotto at work once and I said with a million dollars I would probably quit if I could earn 5% interest on it to get 50k a year. My boss was like, that’s not enough you have to think about daycare and mortgage and car payments and everything. I then reminded him that I was currently making 30k a year. He stopped talking very quickly lol.
50k us is about what I make now and I’m in the suburbs.
Invested safely that’s what I would make with 1m, with 2m I’m having the time of my life.
I could have lived off that at any age as I’m currently making the most I’ve ever made by about 6k compared to my previous job…
The thing you may be forgetting to account for is inflation. 50k a year means your drawing the whole profit annually and in 10 or 20 years suddenly 50k is not enough to live on. You need enough in the fund to ensure it’s making more money than you spend so it can grow YoY and make more each year to cover inflation.
Additionally, if you are not working you are paying 100% out of pocket for insurance. One health incident draws your savings below the amount you need to live off of.
Right now they say not to retire at 60 unless you fully own your property and have over a million in your 401k. And that’s accounting for taking a loss to your social security payments past 67 due to early withdrawal and for out of pocket health insurance costs. If you are younger you need even more.
